Please Note: CAPIS to Hold its February Research Briefing on Feb 17th with Fairlead Strategies’ Katie Stockton. Register here
Overnight Summary: Another choppy overnight session. S&P 500 is down -17 or -0.38% at 4453. The S&P 500 peaked at 4480 and traded to a low of 4437 at 11:00 p.m. EST. It then rallied to 4468 at 3:15 a.m. EST before dropping to 4453.
Earnings Out After The Close:
- Beats: EQIX +1.78, UFPI +1.01, PXD +0.71, CYH +0.58, AIG +0.40, EIG +0.34, KAI +0.31, ALSN +0.24, MRO +0.21, RGLD +0.14, SAM +0.12, HST +0.12, NTR +0.11, PLMR +0.11, NVDA +0.10, VMI +0.08, KAR +0.08, BCOV +0.07, ET +0.07, ATUS +0.06, KNBE +0.06, FSLY +0.06, VECO +0.06, MGY +0.04, AMAT +0.04, HPP +0.03, ALB +0.03, AMPL +0.03, OCDX +0.03, CSCO +0.03, CPTR +0.03, SNPS +0.03, GPK +0.02, KGC +0.02, FCPT +0.02, EVER +0.01, RPT +0.01, WCN +0.01, TYL +0.01, PAY +0.01, INFN +0.01.
- Flat: FSR +0.00, MTTR +0.00, CNDT +0.00, STAG +0.00, AWK +0.00, LOPE +0.00.
- Misses: H (2.60), APP (0.29), COMP (0.24), GLBE (0.19), ROIC (0.19), DASH (0.18), AR (0.18), CAKE (0.09), TXG (0.08), SPWR (0.08), TRIP (0.08), CDE (0.07), CONE (0.06), ATCO (0.05), QS (0.05), PEGA (0.05), TROX (0.04), AM (0.03), TRUP (0.02), BFAM (0.02), WKME (0.01), FARO (0.01), ES (0.01), OIS (0.01).
- IPOs Priced or News: None of note.
- New SPACs launched/News:
- Lockheed Martin Aeronautics (LMT) awarded a contract to Tailwind Acquisition Corp. (TWND) merger partner Terran Orbital to provide three microsatellite class satellites, launch procurement, integration, and operations in support of product demonstration.
- Secondaries Priced: None of note.
- Notes Priced of note: None of note.
- Common Stock filings/Notes:
- AMST: Closing of Public Offering of Common Stock.
- RAMP: Filed Form S-3ASR .. Common Stock Offering.
- ROIV: Filed Form S-1.. 25,000,000 Common Shares.
- Pricing of Over-Allotment: None of note.
- Direct Offering: None of note.
- Selling Shareholders of note:
- HSKA Heska Corp files for 91,039 share common stock offering by selling shareholders.
- Private Placement of Public Entity (PIPE): None of note.
- Mixed Shelf Offerings:
- CSX: files mixed securities shelf offering.
- CDE: Filed Form S-3ASR .. Mixed Shelf Offering.
- STAG: Filed Form S-3ASR .. Mixed Shelf Offering.
- Convertible Offering & Notes Filed: None of note.
Capital Raise Summary From The TradeXchange, bringing traders and investors real time news and Squawk Box, and other sources.
News After The Close:
- After Hours:
- Trading Up: DASH 26%, GLBE 18%, KNBE 12%, ACVA 7%, KAR 6%, INFN 6%, OM 5%, NTR 5%, CAKE 4%.
- Trading Down: AMPL -38%, FSLY -25%, TXG -21%, APP -16%, PAY -14%, BCOV -12%, MTTR -11%, RBBN -11%, TRUP -8%, TRIP -7%, H -7%, ALB -7%, QS -6%, INFA -6%, SAM -6%, LOPE -5%, SPWR -5%, SPWR -5%, CNDT -5%.
- News After The Close:
- Stocks making the biggest moves after hours: CSCO, DASH, FSLY, NVDA, SAM, TRIP, AMAT, CAKE, FSR (CNBC)
- Activist Investor Daniel Loeb Sees Roughly $1 Trillion of Untapped Value in Amazon (AMZN). (WSJ)
- Amazon (AMZN) and Union Organizers in New York Agree on March Date for Election. (WSJ)
- Hyatt (H) posts wider Q4 loss, but sees ‘strengthening demand’ ahead. (MarketWatch)
- Nvidia (NVDA) profit doubles, sales hit records across the board again, as forecast tops Street estimate. (MarketWatch)
- DoorDash (DASH) Surges More Than 30% on Record-High Order Numbers. (Bloomberg)
- CDC expected to update and ease mask guidance as early as next week. (NBC).
- Tiger Woods to return to PGA Tour but no timeframe, a positive for Nike (NKE). (CNN)
- Texas sues to strike down the federal mask mandate for air travelers. (NYT)
- Camping World (CWH) announces cybersecurity incident.
- 13 F filings out from hedge fund managers including: None of note.
- Exchange/Listing/Company Reorg and Personnel News:
- Biocept (BIOC) Appoints Samuel D. Riccitelli as Interim President and CEO and Antonino Morales as Interim CFO.
- Alta Fox Capital Management Nominates Five Highly Qualified and Independent Candidates for Election to Hasbro’s (HAS) Board of Directors.
- Federal Aviation Administrator Steve Dickson will resign on March 31.
- Orion Engineered Carbons (OEC) appoints Jeffrey Glajch as Chief Financial Officer, effective April 18.
- Realogy (RLGY) appoints Melissa McSherry as COO, effective February 22.
- Ulta Beauty (ULTA) Announces Additions to Board of Directors.
- Buyback Announcements:
- Cisco (CSCO) increases buyback authorization by $15 billion.
- Group 1 Auto (GPI) increases share repurchase by $144.2 million to $200.0 million.
- Home Federal Bancorp, Inc. (HFBL) of Louisiana Announces Approval of Stock Repurchase Program.
- NVR (NVR) authorizes $500 million common stock repurchase program.
- Nutrien (NTR) intends to launch new share repurchase program.
- Walmart (WMT) to buyback at least $10 billion of stock in fiscal year 2023.
- Stock Splits: None of note.
- Dividends Announcements:
- Cisco (CSCO) increases dividend by 3% to $0.38 per share.
- CSX Corp. (CSX) Announces Increase to Quarterly Dividend to $0.10 per share.
- Century Communities (CCS) increases quarterly cash dividend 33% to $0.20 per share.
- Equinix (EQIX) increases quarterly cash dividend 8% to $3.10 per share.
- Encore Wire (WIRE) Announces Cash Dividend.
- Group 1 Auto (GPI) increases dividend to $0.36.
- Healthcare Realty (HR) increases cash dividend to $0.31 per share.
- Host Hotels (HST) announces regular quarterly dividend.
- Humana (HUM) increases quarterly cash dividend $0.0875 to $0.7875 per share.
- Nutrien (NTR) increases quarterly dividend $0.02 to $0.48 per share.
- Pangea Logistics Solutions (PANL) increases quarterly cash dividend $0.015 to $0.05 per share.
- Pioneer Natural Resources (PXD) declares quarterly base-plus-variable cash dividend of $3.78 per share.
- Tronox (TROX) Board intends to increase dividend.
- Walmart (WMT) ups dividend to $0.56 from $0.55.
What’s Happening This Morning: Futures value reflects the change with fair value.
S&P 500 -7, Dow Jones -19, NASDAQ -43 and Russell 2000-4. Asia higher and Europe mixed with Germany higher. VIX Futures are at 25.25 from 25.60 yesterday morning. Gold and Silver higher and Copper lower. WTI Crude Oil and Brent Oil Futures lower. Natural Gas is lower. $ is lower vs Euro, lower vs Pound and lower vs Yen. US 10 year Treasury with yields at 2.002% from 2.035% yesterday. Bitcoin is at $43,285 from $ $44,073 at -2.11%. As of 8:12 a.m. EST
Wednesday’s Action – 02/16/22 Close:
- Daily Positive Sectors: Basic Materials, Energy, Real Estate, Industrials of note.
- Daily Negative Sectors: Technology, Communication Services of note.
- One Month Winners: Energy, Basic Materials, Financial of note.
- Three Month Winners: Energy, Consumer Defensive and Basic Materials of note.
- Six Month Winners: Energy, Financial, and Basic Materials of note.
- Twelve Month Winners: Energy, Basic Materials, and Financials of note.
- Year to Date Winners: Energy, Basic Materials and Financial of note.
Stocks recovered from a little morning sickness with the threat of Russian invasion into Ukraine again. Markets turned around on the 2 p.m. EST release of the Fed Minutes. SPX and OEX finished in the green with the Dow and COMPQ slightly negative. Updated 02/16/22 close.
Upcoming Earnings Of Note: (sorted by market cap, highest to lowest with most visible names)
- Thursday After the Close: DLR, ED, AEE, VTR, ROKU, LNT, CGNX, ATR, RBA, EXEL, MSA, SWAV, RUN, PK, QDEL, MATX, CWST, AUY, AEL, LTHM, AJRD, RDFN, USM, SHAK, CORT, OPK, WRE, LGND, DRH, RLGY, TSLX, SKT, LTC, OEC, LASR, MERC, BJRI, BOOM, CMBM, VXRT, CHUY of note.
- Friday Before the Open: DE, PPL, ABR, B, BLMN, RRD of note.
Earnings of Note This Morning:
- Beats: RS +1.61, VC +1.61, AN +0.80, POOL +0.73, GEO +0.30, THRM +0.25, EPAM +0.25, RGEN +0.16, COMM +0.14, WST +0.12, FVRR +0.11, OGN +0.10, MD +0.09, LKQ +0.09, TSEM +0.08, TPH +0.08, CIM +0.07, HIMX +0.06, SYNH +0.05, DNOW +0.04,SWI +0.04, ITGR +0.03, YETI +0.03, WMT +0.03, VNT +0.03, PGTI +0.01, SO +0.01, BAX +0.01, IRDM +0.01.
- Flat: BRC +0.00, MTRN +0.00, NICE +0.00.
- Misses: GEL (0.70), NE (0.36), FOCS (0.09), CBZ (0.09), INSM (0.09), IRWD (0.07), POR (0.03), RCM (0.03), TRN (0.03), USFD (0.02), IDA (0.02), PLTR (0.02), FRO (0.01), SEE (0.01).
- Still to Report: AAWW, GPC, IDCC, SAFM.
- Positive Guidance: ADI, CRL, DRVN, DAVA, IS, DNB, TTD, R, SNPS, ALSN, WCN, GLBE, KNBE, EQIX, ALB, VMI, NVDA, CYH, TROX, ACVA, INFA, WKME, NTR, FVRR, NICE, EPAM, GEO, VNT, PLTR, WST.
- Negative Guidance: AIMC, ALKS, BPMC, CROX, CNDT, FSLY, APP, FARO, BCOV, MTTR, TXG, COMP, TYL, LOPE, RBBN, ATCO, KAI.
Erlanger Research Advance/Decline Chart: Updated through 02/16/22 close.
Gap Ups & Down In Early Pre-Market:
- Gap Up: DASH 25%, GLBE 16%, EVER 12%, FVRR 10%, KAR 7%, GPK 6%, OM 5%, KNBE 5%, OEC 4%, CAKE 4%, CSCO 4%.
- Gap Down: AMPL -43%, FSLY -30%, TXG -23%, APP -19%, CRMT -16%, BCOV -15%, RBBN -15%, MTTR -14%, PAY -14%, PLTR -14%, ALB -9%, ATUS -8%, TRIP -8%, SAM -7%, WKME -6%, INFA -6%, CYH -6%, H -5%, QS -5%, LOPE -5%, AM -5%, CNDT -5%, TRUP -4%.
Insider Action: JAKK, BA sees Insider buying with dumb short selling. SNSE sees Insider buying with smart short sellers. 02/16/22 close.
Rags & Mags: Repeated stories from prior days never listed, i.e. “rehashed news”.
- Stocks Making The Biggest Moves: WMT, AN, CSCO, DASH, NVDA, PLTR. (CNBC)
- 5 Things To Know To Start Your Day. (Bloomberg)
- Covid cases at 109,999 cases from 191,920 with hospitalizations at 80,185 from 102,695. (CDC).
- Russia added 7,000 troops to the Ukraine front. Now over 150,000. (CNN)
- Diplomatic solution to Russia/Ukraine drops after unnamed U.S. official says that Russia is lying about their supposed withdrawal. (NYT)
- Russia “deeply concerned” about violence in Eastern Ukraine and may use as a “false flag” to invade. (Guardian)
- Amazon (AMZN) has deal with Visa (V) to keep using the card. (FT)
- Roku (ROKU) may move to producing its own televisions. (Business Insider)
- Robinhood Snacks looks at the Avocado war in Mexico that has frozen exports after a U.S. inspector was threatened.
Moving Average Update:
- Score ticks up to 56% from 43%. Updated 02/16/22 close.
- President’s Public Schedule:
- The President receives the President’s Daily Brief, 8:30 a.m. EST
- The President departs the White House en route Joint Base Andrews, en route Cleveland, Ohio, 9:10 a.m. EST
- Principal Press Secretary Karine Jean-Pierre and Environmental Protection Agency Administrator Michael Regan will speak aboard Air Force One en route Cleveland, Ohio.
- The President arrives in Cleveland, Ohio, 10:40 a.m. EST
- The President delivers remarks on how the Bipartisan Infrastructure Law delivers for the American people by rebuilding roads and bridges, upgrading water systems, cleaning up the environment, and creating good-paying, union jobs, 12:15 p.m. EST
- The President departs Cleveland, Ohio en route Joint Base Andrews, 1:45 p.m. EST
- The President arrives at the White House, 3:15 p.m. EST
- January Housing Starts is due out at 8:30 a.m. EST and is expected to rise to 1,705,000 from 1,702,000.
- February Philadelphia Fed Index is due out at 8:30 a.m. EST and is expected to fall to 20.4 from 23.20.
- Initial Jobless Claims 8:30 a.m. EST
- EIA Natural Gas Report 10:30 a.m. EST
Federal Reserve Speakers:
- Federal Reserve St. Louis President James Bullard 11:00 a.m. EST
- Federal Reserve Cleveland President Loretta Mester 5:00 p.m. EST
- Ameren (AEE) subsidiary agrees to acquire solar facility in Illinois.
- Intl Flavors (IFF) agrees to acquire Health Wright Products, a leader in formulation and capsule manufacturing for the dietary supplement industry.
- Peoples Bancorp (PEBO) agrees to acquire Vantage Financial, headquartered in Excelsior, Minnesota, for total cash consideration of $54 million.
- Radware (RDWR) will acquire the business of SecurityDAM.
- Spotify (SPOT) announces acquisitions of podcast technology companies Podsights and Chartable. (SPOT Update)
Meeting & Conferences of Note:
- Sellside Conferences:
- None of note.
- Previously Announced Conferences:
- Citi Immuno-Oncology Conference 2022 (02/16/22-02/17/22)
- Credit Suisse 23rd Annual Financials Services Forum 2022 (02/16/22-02/18/22)
- Keefe Bruyette and Woods KBW Winter Financial Services Conference 2022 (02/16/22-02/18/22)
- Bank of America Securities Insurance Conference 2022 (02/15/22-02/16/22)
- BTIG (MedTech) Medical Technology, Digital Health, Life Science and Diagnostic Tools Conference 2022 (02/15/22-02/17/22)
- SVB Leerink 11th Annual Global Healthcare Conference 2022 (02/14/22-02/18/22)
- Company Meetings: CMI.
- Fireside Chat: None of note.
- Investor/Analyst Day/Calls: ARVN, ATI, GPK, INTC, NRDBY.
- Update: None of note.
- R&D Day: None of note.
- Company Event: None of note.
- Industry Meetings:
- American Society of Clinical Oncology Genitourinary (ASCO GU) Cancers Symposium 2022 (02/17/22-02/19/22)
- International Conference on Fatty Liver 2022 (02/17/22-02/19/22)
- Previously Posted and Ongoing Conferences:
- Miami International Boat Show & Strictly Sail 2022 (02/16/22-02/20/22)
- BIO CEO & Investor Digital Conference 2022 (02/14/22-02/18/22)
Top Tier Sell-side Upgrades & Downgrades:
The recommendations listed below in this “Upgrade/Downgrade” section are compiled from what we believe are Tier I, II and III firms. Recommendations posted are taken from a variety of sources each day and we only post upgrades or significant initiations as well as downgrades to underweight or sell. The purpose of this posting it to make the reader aware of market moving recommendations. None of these recommendations should be interpreted as actual recommendations from CAPIS or its employees.
Today’s Upgrades and Downgrades:
Wednesday’s Upgrades and Downgrades: